IAG has won an innovation award in recognition of its new motor product, Poncho Insurance, from global financial services research firm Celent.

The Celent Model Awards are given out annually to financial services providers including insurers that have demonstrated effective use of technology in specific areas.

IAG took home this year’s Innovation Execution Award in the insurer category as Poncho “quickly became self-funding, the utopia of innovation projects.”

“New approaches to technology selection and connection have fed insurance innovation on the Poncho Insurance platform, with agile practices across all aspects of the business,” Celent Senior Analyst Nicolas Michellod said.

“This includes an enhanced and advanced culture which champions idea generation and the continual development of the product and service offering.”

Poncho was created last October with the aim of offering consumers “stress-free, fluff-free” comprehensive cover on a monthly subscription basis. It is presently available only to NSW consumers.

Victoria and Queensland are next on the list but no timeframes have been set yet, an IAG spokesman told insuranceNEWS.com.au.

The product is designed with flexibility to the fore, with customers allowed to have more than one car insured under one policy.

IAG Satellite Executive Manager Phil Wilson-Brown “says the company is honoured to win the award.

“The focus on excellence in customer offerings, coupled with the implementation of technologies with a future-first mentality, is allowing us to develop and deliver innovative insurance services.”